Wondering about how to sell Bitcoin? The answer is simple: there are a few ways to sell Bitcoins for cash in India. With the surge in crypto trade, new-age startups have started dealing in cryptocurrencies. This, in a way, enhances the overall experience of buying and selling Bitcoin in India.
Bitcoin is the most traded cryptocurrency in the world. People heard about it before they heard the term cryptocurrency. Converted from a white paper to an established blockchain technology, Bitcoin has been the preferred cryptocurrency for investors and traders for a long time.
When more and more people buy Bitcoin, they need to know the safe ways of selling it in India. Here are the answers on how to sell Bitcoin in India.
How To Sell Bitcoin In India?
Crypto markets have witnessed growth at an exponential rate, and Bitcoin contributes the most to this growth. However, the growth of such technologies opens doorways for people to attain financial freedom.
Bitcoin has a higher monetary value. But unless it’s converted into flat cash, it’s a mere digital currency that doesn’t have a lot of uses.
So, considering Bitcoin’s massive trade volume, it is necessary to know how to convert Bitcoin to cash. Here are the two ways to sell Bitcoin in India.
- Sell Bitcoins on Crypto exchanges
- Sell Bitcoins using Peer-to-Peer Network
Sell Bitcoins On Cryptocurrency Exchange
Cryptocurrency exchanges are the preferred and safest way to sell Bitcoin in India. Crypto exchanges are governed by a third-party entity, which ensures safety and convenience. Such exchanges offer an organised format for buying and selling Bitcoin in India, eliminating the risk of fraudulent transactions.
Top 5 Crypto Exchanges In India To Sell Bitcoin
Several cryptocurrency exchanges in India offer convenience and safety at a brokerage fee. However, the cost varies from exchange to exchange. A few reputable crypto exchanges for buying and selling Bitcoin in India are:
1. CoinDCX
CoinDCX is India’s premier cryptocurrency exchange, providing a secure and user-friendly platform to buy and sell Bitcoin seamlessly. With cutting-edge technology, robust security measures, and a wide range of trading pairs, CoinDCX empowers users to navigate the world of cryptocurrencies confidently, making it the go-to choice for digital asset enthusiasts in India.
2. CoinSwitch Kuber
With a secure and efficient interface, CoinSwitch Kuber empowers users to navigate the cryptocurrency world effortlessly, making it the go-to platform for trading Bitcoin in India. With over 15 million users in India, this platform stands out as a trusted stage to sell bitcoins for cash in the country.
3. WazirX
WazirX stands out as one of India’s leading cryptocurrency exchanges. Established in 2018, this platform has gained the trust of a whopping 6 million users who collectively trade a substantial $5.4 billion monthly. WazirX’s credibility is further bolstered by its affiliation with the Binance group, a prominent name in the crypto space. It is one of the safest places to sell Bitcoin in India.
4. ZebPay
Zebpay was established in 2014 and re-launched in India in 2020. It has garnered over 5 million users, facilitating over 10 billion in fiat trades. It is renowned as a premier Indian crypto exchange. Also, ZebPay stands out with diverse services such as exchange, OTC trading, and lending, making it a top choice for selling Bitcoins in India.
5. Bitbns
Founded in 2017, Bitbns has positioned itself as India’s leading crypto exchange. It boasts over 4 million users and has committed to crypto as the future of money. With a user-friendly interface and comprehensive crypto support, Bitbns competes for the title of the best Indian crypto exchange for selling Bitcoin.
Note: You must adhere to particular features while selecting a crypto exchange.
How Do You Choose A Crypto Exchange To Sell Bitcoins?
Choosing the right cryptocurrency exchange is crucial to sell Bitcoins. As the number of exchanges in India continues to grow, it’s essential to conduct thorough research and take the following factors into account:
1. Security:
Prioritise exchanges by implementing strong security measures, such as two-factor authentication (2FA) and cold storage for funds. Choosing a platform with a proven security track record will shield your assets from potential cyber threats.
2. User-Friendly Interface:
Opt for an exchange with an intuitive and easy-to-use interface. This is particularly important if you’re new to cryptocurrency trading, as a user-friendly platform can streamline the selling process.
3. Liquidity:
Ensure the exchange has high liquidity. This guarantees that you can swiftly convert your cryptocurrency into Indian Rupees (INR) at fair market prices. This minimises the risk of significant price fluctuations during your transactions.
4. Regulation and Compliance:
Select an exchange that adheres to Indian regulations and maintains transparent policies. This safeguards your rights as a user and ensures that your transactions are legally recognised.
5. Customer Support:
Look for platforms with responsive customer support to address issues arising during the selling process. A helpful customer support team can provide assistance and solutions promptly, enhancing your overall experience with the exchange.
Our Word: Review their terms and conditions and brokerage fees before signing up with a Cryptocurrency exchange. However, selling Bitcoins on an exchange follows a standard process.
How To Sell Bitcoins On Crypto Exchanges?
The process to convert Bitcoin to cash with an exchange is quite simple:
- Register yourself with your preferred crypto exchange
- Transfer your cryptocurrency into the digital wallet of your crypto exchange
- Send a withdrawal request of cryptocurrency into INR
You can choose any of these exchanges to withdraw money from Bitcoin. Before proceeding further, consider a few essential steps for transacting with a cryptocurrency exchange.
- You’ll receive your money in the same bank account you used to buy Bitcoin. This contributes to eliminating fraud or unauthorised transactions.
- The usual time to receive your money in your bank account is 4 to 6 days
- Depending on the crypto exchange, they charge specific fees as a broker.
Sell Bitcoins Using Peer-To-Peer Network
The peer-to-peer network offers a liberal way to buy and sell Bitcoin in India. By transacting with such a network, you can choose a specific buyer and a preferred mode of payment.
While transacting with your buyer, you can choose to conceal your identity. Unlike cryptocurrency exchange, a peer-to-peer network intends to provide a marketplace where you control the process.
Here are a few peer-to-peer exchanges in India that allow you to sell Bitcoins for cash. Based on your requirements, you can choose any of these peer-to-peer networks.
- OKX:
OKX is your one-stop crypto shop, offering everything from buying Bitcoin and swapping tokens to exploring DeFi and building on their own layer-1 blockchain. With millions of users and cutting-edge features, it’s no wonder they’re the second-biggest crypto exchange by trading volume.
- Binance:
Binance reigns as the king of crypto exchanges, offering a vast universe of coins to trade and a suite of financial products to explore. Whether you’re a seasoned trader or a crypto-curious newbie, Binance has something for everyone, but tread cautiously – the ever-evolving crypto landscape comes with inherent risks.
- Paxful
Paxful is your global peer-to-peer marketplace for buying and selling Bitcoin with over 350 payment methods – trade directly with people, set your rates, and enjoy the freedom of crypto. Whether a seasoned holder or a curious newbie, Paxful empowers you to trade Bitcoin on your terms.
How Do You Avoid Fraudsters In Peer-To-Peer Network Selling?
Liberty comes with a certain level of risk. Peer-to-peer exchanges experience a high rate of fraudulent transactions due to the absence of a governing entity. However, you can counter these frauds if you take these precautionary steps.
- Ask for ID proof from a buyer.
- Opt for peer-to-peer exchanges that offer an escrow option, which allows you to lock your cryptocurrency until you receive the payment.
- Look for a buyer and send a trade request upfront.
By following these steps, you can minimise the risk of fraudulent transactions.
Bitcoin has been profitable for the masses. Regardless of the profits Bitcoin has delivered to its traders, Crypto markets could be highly volatile and sensitive. In a year, the price of a single Bitcoin went up to INR 30 lacs and dropped to as low as INR 16 lacs. So, monitoring the price fluctuations while selling Bitcoin in India is advisable.
Sell Bitcoins Using Peer-To-Peer Network
While people are making huge profits by trading Bitcoin, there are a few tax rules that you need to consider when selling Bitcoin in India.
- The profit you earn from selling Bitcoin will be taxed at a flat rate of 30% at the end of the financial year.
- You cannot avail any deductions from your crypto profits, except for the cost paid to acquire it.
- Losses from selling Bitcoin will not be settled against any other income.
- Losses in the crypto trades can be settled against profits in the same financial year.
These few cryptocurrency tax rules in India will help you manage your taxes. However, they are just the tip of the iceberg, and there’s much more to the rules. But you don’t need to worry about the complex tax rules, at least not initially.
How To Make Your Cryptocurrency Taxation Easy?
Sometimes, the complexities of taxation can be overwhelming. Whether you’re a business owner or a 9-to-5 practitioner, delegating tasks rather than managing them independently is more intelligent.
To make the job easier, KoinX integrates with reputed crypto exchanges and calculates your taxes. It lets you download tax reports and helps you assess the crypto gains.
It takes away the hassle of frequently assessing your tax reports. Further taxation is automated after integrating your crypto portfolio and transactions with KoinX.
So, this was our post on how to sell Bitcoin in India. We hope you find this post helpful. Have safe and growth-oriented trading.
